Bitmain will begin selling its mining hardware business in a bid to become the leading miner in the world, according to a report from The Wall Street Journal.
Bitmain, a Chinese mining hardware maker that supplies the cryptocurrency miners and exchange-traded funds used by Bitcoin and other cryptocurrencies, will buy a majority stake in the company and create a new company called XRP, according the report.
The transaction would be the first such transaction in over a year, the report said.
A spokesman for the company declined to comment.
The Wall St. Journal article was first reported by Bloomberg.
Bitminer is one of the top miners in the bitcoin market, according on-demand mining services like Bitpool and Antpool.
The company was founded in 2009 and now has nearly 7,000 employees.
The WSJ reported on Wednesday that the Chinese mining giant is planning a $1 billion buyout of the company, which currently has around $30 billion in assets.
Bitmining is a process by which miners use powerful computers to mine bitcoins and other digital currencies.
It’s an important part of the bitcoin mining process.
The process is often used to boost the performance of the network, which is what allows for transactions to be confirmed and fees to be paid.